- Teens get books from a variety of sources, with Amazon.com and public libraries being the top sources. - Barnes & Noble bookstores and school libraries are also commonly used acquisition sources. - Females acquire books from more sources than males, with swapping books among friends being more common for females.

1. Understanding the Children’s Book Consumer in the Digital Age:
A focused look at activities, purchasing influences, and behaviors of today’s book consumer
Wave 2 – Fall 2011 / Wave 3 – Spring 2012 / Wave 4 – Fall 2012
This presentation, and the data contained, are © Bowker Market Research 2012 or as shown, and not to be distributed or published without permission.

2. WHO ARE WE… ?
Market
Research
Kristen McLean Carl Kulo
Project Editor Lead Analyst
Founder & CEO Senior Data Analyst
Bookigee, Inc. Bowker Market Research
www.bookigee.com www.bookconsumer.com
www.kristenmclean.org #Bowker
@BKGKristen

3. Methodology
Core questions about influences and activities
Collaborative effort among all subscribers
Proprietary questions for individual clients
Fielding Periods:
• Fall 2011 (October 7 2011 through November 2 2011)
• Spring 2012 (April 4 2012 through April 24 2012)
• Fall 2012 (October 15 2012 through November 4 2012)
Fall 2012…
2 Online Surveys:
• 0 to 12: N= 2000 (Parents/Guardians respond)
 (0 to 6: N = 1000)
 (7 to 12: N = 1000)
• 13 to 17: N = 1000 (Young Adult responds, with parental OK)
 At 95% confidence level, Margin of Error = +/- 3.1% for each segment of 1,000
2

4. EXECUTIVE SUMMARY
 BASELINE FINDINGS FROM FIRST THREE FIELDINGS
• Children’s market very stable
• Changes are incremental, not exponential
• Kids are omnivorous media consumers
• Highly local influences on decision-making
• Kids 7-12 a very clear consumer force
• Although rising, teen eBook adoption does not align with
sales
3

5. EXECUTIVE SUMMARY
 KEY FINDINGS WAVE FOUR (NOV 2012)
• Marked decline in bookstore and library influence
• “Friends & family” take top spot as influencers
• Parental attitudes toward kids’ e-books evolving
• Girls outpacing boys in almost every area of media use
• Teens attitudes toward e-books “snapping back” to print
DBW Bonus: The YA Crossover Market
4

6. Insert
Image
Here
Section 1:
Acquisition & Discovery 0-12
5

7. Nature of Book Acquisition:
Where specifically do they get the books they read for fun? (Fall 2012)
Public Library 28%
34% -6/-8%
26%
Amazon.com 29%
12%
WalMart or Sam's Club 21%
14%
Barnes & Noble bookstore 15%
School Library 22%
6% -16/-16%!
Scholastic book clubs 12%
10%
Other Big Box store (Target, Costco, etc.) 5%
9%
Scholastic book fairs 9%
4%
4%
Garage sale/sidewalk sale/secondhand shop 8% Has a child 7-12
4%
Used bookstore 6% Has a child 0-6
Half-Price Books 4%
4%
Books-a-Million bookstore 2%
3%
ebook apps 2%
2%
Other online retailer (B&N.com, etc.) 1%
3%
iTunes 2%
2%
Independent / local bookstore (not a major national or regional … 1%
3%
1%
Other, please specify 2%
0% 10% 20% 30% 40%

8. Trends in acquisition by key sources…..
45% 45%
42%
41%
40% 40%
35% 34% 35% 34%
32%
31% 31%
30% 29%29% 30%
28% 28%28%
27%
26% 26% 26% 26%
25% 23% 25%
22%
21% 21%
20% 20%
15%
15% 15% 14%
12%
10% 10%
5% 5%
0% 0%
Libraries B&N Amazon WalMart Libraries B&N Amazon WalMart
Fall 2011 Spring 2012 Fall 2012 Fall 2011 Spring 2012 Fall 2012
• 0 to 6 • 7 to 12

9. Nature of Book Acquisition:
Highest ranking influencers for children (Fall 2012)
Child asked for it in store 44%
27%
Familiar character or series 32%
33%
18%
Written by an author I trust and know 16%
10%
Attractive book (good paper, beautiful illustrations, etc.) 23%
13%
Was discounted/on sale 19%
Recommendation by a friend 16%
15%
Illustrations 8%
21%
Front cover image 11% Has a child 7-12
17%
Seen or read the book previously 11%
16%
Age rating on the cover 12%
15%
Descriptive copy on the back cover 12%
8%
Has a child 0-6
Customer reviews 9%
10%
Award winner 9%
9%
Nothing. I just needed to pick something fast 9%
8%
Best seller list 8%
8%
Descriptive copy on the front cover 7%
8%
5%
Was hardcover 10%
5%
Table display 7%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

10. How have purchase habits changed?
Compared to three years ago, which of the following is true…
(Fall 2012)
35%
I buy more books on Amazon, fewer in a bookstore
26%
26%
I continue to purchase my books in a real bookstore
30%
26%
I buy fewer books, overall
27%
I buy more books in a general merchandiser, such as Walmart or 12% Child 7-12
CostCo. 13% Child 0-6
7%
I buy more ebooks rather than print books
6%
6%
Other, please specify
9%
6%
I buy more books on iTunes.iBooks; fewer in a bookstore
6%

11. Sources of Book Recommendation:
Where do you get book recommendations for a child? (Fall 2012)
Friend/family 26%
30%
Bookstore - browsing the shelf 17%
20%
Teacher 20%
14%
On-line research on a retail site 9%
11%
School book clubs & flyers 13%
9%
Has a child 7-12
Parenting Magazine 4%
9%
Public Librarian 9%
8%
On-line research on a non-retail site 7%
8% Has a child 0-6
School Book Fairs 15%
7%
Mommy/Parenting blog 3%
6%
Bookstore - asking the sales clerk 5%
5%
School Librarian 8%
4%
On-line advertisement 2%
3%
0% 5% 10% 15% 20% 25% 30% 35%

12. Changes in recommended sources
35% 35%
30%
30% 30% 28%
27%
26% 26% 26%
25% 25% 25%
25% 24% 25%
20%
20% 20%
17%
15% 15% 14%
13% 13%
11%
10% 10% 9%
8%
5% 5%
0% 0%
Fall 2011 Spring 2012 Fall 2012 Fall 2011 Spring 2012 Fall 2012
Friends Bookstore Library Friends Bookstore Library
• 0 to 6 • 7 to 12

13. Key Takeaways - Acquisition:
• Friends and family influence increasing, especially in 0-6;
highly local pattern of influence
• Significant drop in bookstore and library as source of
acquisition & recommendation
• Online children’s book purchasing speeding up
• Children central drivers of purchase behavior, especially
7-12

14. Insert
Image
Here
Section 1.1:
Children’s Books in the Household –
The Child’s Environment
13

15. Household Device Census (Fall 2012)
86%
A television 82%
A laptop 74%
74%
A video game system 75%
63%
A home computer (not a laptop) 67%
58%
Cable TV box 47%
45%
37%
Another type of Smart Phone 38%
A simple cell phone (no video, gaming, apps) 41%
33%
An iPhone 33%
33%
A Kindle e-reader 28%
26%
28%
An iPad 25%
An iTouch 21%
13%
Another type of tablet 17%
16%
A device for streaming video (e.g. Roku, Boxee, AppleTV) 12%
12%
A Nook e-reader 10%
9%
Another type of e-reader 8%
8%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Child 7-12 Child 0-6

16. The Child’s Environment:
How important are the following media for a child?
(Fall 2012)
Print books 7.6
7.8
Children's DVDs 5.8
6.2
Cable or broadcast television 6.3
5.7
Educational Websites 6.0
5.6
Board games 5.8
5.4
Video game systems 5.9
4.3
Children's magazines 4.9
4.8
Handheld games 5.2
4.3
Online games 5.3
4.2
Mobile apps 4.4
4.4
Video streaming services such as Hulu or Netflix 4.2
4.3
E-books 4.3
4.2
Kid-specific social networks like Club Penguin 4.2
3.9
- 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0
7 to 12 0 to 6

18. Do you (the parent) currently read eBooks?
100%
90%
80%
57%
70% 62% No
74%
60%
50%
40%
Yes
30%
43%
20% 39%
26%
10%
0%
Fall 2011 Spring 2012 Fall 2012

19. The Child’s Environment:
E-Books – how do parents prefer children read?
100%
90% 22% 25% 24%
29% No preference
33% 34%
80%
6%
5% 7%
70%
5%
4%
6%
60%
50% In ebook
format
40%
72% 71% 69%
66% 63%
30% 61%
20%
In print
10%
0%
Child 0-6 Child 7-12 Child 0-6 Child 7-12 Child 0-6 Child 7-12
Fall 2011 Spring 2012 Fall 2012

20. Why do parents prefer print?
60%
Reading a print book helps them focus
56%
Less distraction from other content (links to video 57%
clips, games, etc.) 55%
57%
Prefer the look and feel of print 0-6
48%
7-12
50%
They'll read more
46%
46%
They've already got enough technology in their life
44%
0% 10% 20% 30% 40% 50% 60% 70%
20

21. Why do parents prefer eBooks?
43%
Easier to carry around more titles
45%
38%
They think it's fun and cool
44%
37%
They're drawn to the technology 0-6
44%
7-12
37%
More convenient
42%
31%
Easier to find more titles
37%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
21

22. Key Takeaways – eBooks 0-12:
• Parental eBook adoption continues to rise
• Attitudes toward kids’ e-reading ambivalent
• Is this developing into a “flat until Q4” pattern?

23. Insert
Image
Here
Section 3:
The Young Adult
Market
23

24. Are books as important to them?
(Spring vs. Fall 2012)
100%
15% 17%
90% 22% 20% 22%
27%
A more important role
80%
70%
43%
60% 46%
44% 47%
48%
50% 45%
An equally important role
40%
30%
20% 42%
34% 37%
33% 29%
28% A less important role
10%
0%
Total Male Female Total Male Female
Spring 2012 Fall 2012

25. Nature of Book Acquisition:
Where specifically do teens get the books they read for fun?
(Fall 2012)
Amazon.com 43%
+6% 41%
Public Library 43%
-4% 39%
Barnes & Noble bookstore 36%
-3% 32%
School Library 22%
27%
Swap them among friends 14% Female
7%
WalMart or Sam's Club 9%
9%
Used bookstore 6%
6%
Other, please specify 6%
7% Male
Half-Price Books 5%
6%
Other online retailer (B&N.com, Borders.com, etc.) 5%
5%
Books-a-Million bookstore 5%
5%
Independent / local Bookshop (not a major national or regional … 5%
5%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

26. Device Census (Regular Use):
A reduction in home computers is offset by increased laptop use.
Simple cell phones decline; iPhone and iPad escalate.
77%
A television 73%
77%
72%
A laptop 70%
66%
Fall 2012
71%
A video game system 64%
58%
61%
A home computer (not laptop) 59%
64%
40%
Cable TV box 38%
39%
Spring 2012
28%
A simple cell phone (no video, gaming, apps) 29%
34%
26%
Another type of Smart Phone 27%
24%
24%
An iPhone 19%
15% Fal 2011
23%
An iTouch 24%
24%
20%
An iPad 15%
11%
13%
A Kindle e-reader 15%
7%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

27. Teen Technology Install-base
By Gender (Fall 2012)
Which device do you use on a regular basis?
A television 78%
77%
A laptop 75%
72%
A home computer (not laptop) 57%
61%
A video game system 39%
71% Female
Cable TV box 39%
40%
A simple cell phone (no video, gaming, apps) 29%
28%
An iPhone 30%
24%
Male
An iTouch 28%
23%
Another type of Smart Phone 26%
26%
An iPad 21%
20%
A Kindle e-reader 14%
13%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

28. Media Behavior: Girls -vs- Boys
How often do you…?
Read books for fun 40%
29%
Discuss books with my parents 15%
12%
Discuss books with friends 18%
12%
Make your own status updates on Facebook or Twitter 30%
21%
Discuss books with my siblings or other relatives 14%
11%
''Like'' a brand or series on Facebook 18%
14%
Stream content on services such as Netflix or Hulu 19%
18%
Swap books to read with your friends 14%
7%
Post videos online 8%
6%
Follow authors or characters on Facebook, Twitter or any other social network 10%
sites 7%
Discuss books online 6%
6%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Females - Very Often Males - Very Often
28

29. Key Takeaways – Teens:
• Books still holding their own against other media for
perceived value
• Girls are outpacing boys in almost every area of media
behavior
• Girls more engaged by content “around” the book

30. Trends in eBook reading among teens flat:
94%
100%
78%
90% 71%
80% 71%
70%
60%
50%
29%
40% 29%
22%
30%
20% 6%
10%
0%
Fall 2010 Fall 2011 Spring 2012 Fall 2012
Yes No

31. Do you currently read eBooks?
(Fall 2012)
100%
80%
71% No
60% 76% 67%
40%
20% 29%
Yes
24%
0% 33%
Total
Male
Female

32. Binding Preference: A snap back to “p”
100% 8% 11% 10%
Ebook
90%
26% 24%
80% 28%
70%
60% No Preference
50%
40%
66% 66%
61%
30%
Print
20%
10%
0%
Fall 11 Spring 12 Fall 12

33. What does the future hold?
100% Don't know
17% 17% 16%
90%
80% 14% 18%
18%
I will be reading both print and e-
70%
books equally
60%
50%
I will mainly read print books
40% 61% 54% 57%
30%
20%
I will mainly be reading e-books
10% 11% 10%
8%
0%
Fall 11 Spring 12 Fall 12

34. Resistance to eBooks…..
None of the above: I already read e-
100% 10% books
14% 16%
90% Other, please specify
33%
80% 26% 31%
Don't see a need
70% 14% 17%
17%
8%
60% 7% Too many restrictions on re-using or
8% swapping the content
50%
53% Privacy concerns
46% 40%
40%
30% Cost of getting a device is too high
20%
37% 37% 41%
Prefer the experience of a printed
10% book
0%
Fall 11 Spring 12 Fall 12

35. Insert
Image
Here
Section 4:
The YA Crossover Market
A closer look at consumers 18 to 29
reading YA Fiction
35

36. Demographic breakdown of Young Adult book
purchases*
7% 4% 16%
11%
Teen 13 - 17
18 - 29
35% 30 - 44
27%
45 - 54
55 - 64
65 +
*(Full Year 2012 Bowker Tracker)
36

37. (Spring 2012)
Percent of YA Genre Bought for Self vs Others
100% 3% 6%
15%
90% 22% 23%
80% 48%
70%
76%
60%
50% 97% 94% For other/gift
87%
40% 80% 78% For self
30% 67%
20%
27%
10%
0%
Base Teens 13-17 18-29 Years 30-44 Years 45-54 Years 55-64 Years 65+ Years
Years
*(Full Year 2011 Bowker Tracker)

38. (Spring 2012)
Do you read E-Books?
41%
Yes
59%
No

39. (Spring 2012)
Does having a book in e-book form
make you more likely to read a "guilty
pleasure" book, such as a teen fantasy
book?
31%
42% Yes, very much so
Somewhat
28%
No

40. (Spring 2012)
If one of your favorite titles was not available in E-Book…
• This demographic is a committed reader-base.
8%
I would buy a print version instead
15%
I would not buy the book at all
77%
Other, please specify

41. THANKS!
Market
Research
Kristen McLean Carl Kulo
Project Editor Lead Analyst
Founder & CEO Senior Data Analyst
Bookigee, Inc. Bowker Market Research
www.bookigee.com www.bookconsumer.com
www.kristenmclean.org #Bowker
@BKGKristen